Ethereum (ETH) Price Prediction: $5K in Focus as Cup-and-Handle Breakout Meets Diverging Long-Term Views
The post Ethereum (ETH) Price Prediction: $5K in Focus as Cup-and-Handle Breakout Meets Diverging Long-Term Views appeared on BitcoinEthereumNews.com.
Ethereum surges past key resistance, signaling a potential rally toward $5,000, challenging traditional cycle expectations and drawing renewed attention from traders, institutions, and market analysts worldwide. Early January 2026 has seen Ethereum (ETH) reclaim critical levels after months of consolidation, accompanied by rising institutional ETF inflows and improved staking network dynamics. Historical patterns suggest that such cup-and-handle formations can precede sustained rallies if supported by volume and market participation, making the current setup particularly noteworthy for both short-term traders and long-term investors. Ethereum Breakout Signals Bullish Momentum On the daily timeframe, ETH broke above $3,800 after forming a cup-and-handle pattern beginning in late 2025. This setup aligns with prior bullish breakouts in ETH, where successful validation required volume confirmation above the handle resistance and a sustained close above key moving averages. James Easton shared a TradingView chart showing Ethereum breaking above $3,800, signaling bullish momentum and potential upside amid institutional support. Source: James via X TradingView analyst James Easton, who tracks Ethereum technical patterns, noted that the current breakout challenges conventional post-halving cycle expectations. Unlike some prior cycles where ETH stalled after reaching similar formations, this breakout is accompanied by strong institutional ETF inflows, suggesting more robust support from larger investors. Fundstrat’s Tom Lee projects long-term Ethereum targets near $9,000, while network staking upgrades continue to enhance ETH’s utility and scarcity. However, traders should monitor volume and closing price behavior to confirm this bullish thesis; a failure to sustain above $3,800 could indicate a temporary false breakout. Ethereum Price Analysis: Key Support and Resistance Levels While ETH demonstrates bullish momentum on the daily chart, intraday (H1) analysis indicates near-term decision points: Support: $3,080–$3,100 Resistance: $3,180–$3,300 A decisive close above $3,240, confirmed by volume above the 200-day moving average, would support a continuation toward $3,300 and beyond. Conversely, if ETH loses…
Filed under: News - @ January 10, 2026 7:22 pm